US Market Retreats Amid Walmart Outlook Concerns and Trump's Policy Shifts

Key Points:

* US stocks experienced a pullback on Thursday as investors scrutinized Walmart's earnings report and assessed the potential impact of planned tariffs and policy changes by President Trump.
* The Dow Jones Industrial Average (^DJI) declined by around 450 points or approximately 1%.
* The S&P 500 (^GSPC) dropped 0.5%, while the Nasdaq Composite (^IXIC) also lost about 0.5%.
* Concerns surged about impending challenges for corporate America after Walmart exceeded quarterly profit expectations but issued cautious guidance for fiscal year 2026. Walmart's shares plummeted by over 6%.
* Goldman Sachs (GS) and JPMorgan (JPM) witnessed substantial declines of approximately 4%, contributing to the Dow's fall.
* A looming threat to the market is President Trump's proposed tariffs, which have prompted major corporations like General Motors (GM) to consider significant business adjustments. The Pentagon's planned 8% spending cut has cast a shadow over Palantir's (PLTR) stock, leading to a 5% loss.
* Amid President Trump's clash with Ukraine's president, geopolitical tensions have heightened, leaving markets anxiously anticipating his next move. Investors sought refuge in gold (GC=F), with its price reaching a record high due to waning risk appetite.
* Rivian (RIVN) reported a "gross profit" of $170 million in the fourth quarter, attributed to improved variable costs and revenue per unit. The company anticipates a lower loss in 2025 compared to the previous year.
* Citi has expressed concerns that the market rally in 2025 may have absorbed much of the potential upside from Trump's impending policies, leaving room for disappointment rather than positive surprises.
* The Conference Board's CEO Confidence survey revealed a significant increase in business leaders' optimism, with the reading hitting 60, its highest level in three years.
* Energy stocks have been outperforming other sectors and the broader market, driven by surging natural gas prices.
* Amazon's MGM Studios has acquired creative control of the iconic "James Bond" franchise, strengthening its position in the streaming wars.
* Walmart CFO has attempted to alleviate investor concerns about 2025's prospects following the company's conservative guidance.
* Delta Air Lines has offered $30,000 to passengers involved in a recent crash-landing in Toronto, irrespective of any potential lawsuits.
* Palantir's stock continued to decline due to apprehensions about Pentagon spending cuts, despite analyst Dan Ives's bullish stance.
* Alibaba (BABA) saw its US-listed stock rise by 9% after reporting robust AI momentum and exceeding earnings expectations.
* Consumer Discretionary (XLC) and Financials (XLF) sectors led market losses on Thursday, with Walmart (WMT) contributing to the decline. Healthcare (XLV) and Energy (XLE) stocks, however, remained in positive territory.